Uber is a company that operates in more than 70 countries and 600 cities around the world. They offer on-demand transportation services through their app, which has been designed to make it easy for riders and drivers to connect with each other.. However, one thing they don’t do is pay taxes or provide benefits such as health care or unemployment insurance. This puts them at risk of fines from regulators who try to fine them without compensation.
Uber Settlements – Current Cash Settlement & Rebate Info is a blog that discusses the current settlement amounts and how to get your rebate. Read more in detail here: lyft settlement checks 2021.
(This page was last updated on August 28, 2018)
Uber Technologies, Inc. is being sued in a number of states, alleging that the ride-hailing business unfairly characterizes drivers as independent contractors. Plaintiffs argue that they should be categorized as Uber workers, which would provide them access to perks including gas and mileage reimbursement, health insurance, and overtime pay.
Uber’s legal issues aren’t limited to driver categorization claims.
A provisional settlement was reached in one Uber class action case, but it was rejected by a court (see “Judge Rejects $100 Million Uber Settlement” below).
Uber’s legal issues aren’t limited to driver categorization claims. Uber was slapped with 50 lawsuits in the United States in 2015, considerably more than any other so-called “Unicorn” startup. The cases are aimed at Uber’s business methods, and they may have an impact on how the company works in the future.
Wage Gaps and Harassment: $10 Million Settlement
Uber agreed to pay $1.9 million to 56 female workers to settle a complaint filed in October 2017 claiming sexual harassment and a hostile work environment. Approximately $34,000 will be paid to each employee.
Uber will also pay $5.1 million to the 56 workers, as well as 424 others, who claim they were subjected to discriminatory wage inequalities. These workers will get about $11,000 in compensation for the claimed salary disparities.
These payments were made as part of a broader $10 million settlement agreed by Uber in March of this year.
Settlement of $20 million for inflated earnings
Uber agreed to pay $20 million to resolve claims brought by the US Federal Trade Commission (FTC) that it had misrepresented the amount of money its drivers would make in order to recruit new drivers. According to the Federal Trade Commission (FTC):
… Uber said on its website that the yearly median income of uberX drivers in New York was more than $90,000, and in San Francisco, it was more than $74,000. However, the FTC claims that drivers’ yearly median income in New York was $61,000 and $53,000 in San Francisco. In all, fewer than 10% of all drivers in those locations made the annual salary that Uber advertised.
Uber also allegedly misled its car leasing programs, claiming much lower expenses than what drivers would really pay, according to the FTC. Uber agreed to cease “making false, deceptive, or unsubstantiated statements regarding drivers’ income; programs selling or promoting automobiles or vehicle financing or leasing; and the terms and circumstances of any vehicle financing or leasing,” according to the terms of the settlement.
Settlement for Sexual Assault that was not made public
Uber resolved a lawsuit brought by two female customers in Boston and Charleston, South Carolina, who were sexually assaulted by their Uber drivers in November 2016. The amount of the settlement was not revealed.
The occurrences happened in 2015, when the corporation was under fire for the thoroughness of its driver background checks.
Settlement of $384k in Driver Gratuities
Uber struck an agreement with a group of customers who claimed the ride-hailing service illegally stole a cut of the 20% driver tip. The settlement, which was announced on July 20, 2016, is estimated to be approximately $384,000. From April 20, 2012 to March 25, 2013, almost 47,000 eligible class members received an email from Uber claiming that when taxi trips were organized and paid for using Uber’s service, a 20% “gratuity” would be automatically charged.
Caren Ehret, the named plaintiff, sued Uber in January 2014, alleging that she used the Uber app to book a driver in Chicago and was charged the necessary 20% tip on top of the metered rate. According to the complaint, Ms. Ehret was misled into believing that the full 20% tip would go to the driver, but Uber kept a portion of the tip as income.
The trips in question were booked via uberTAXI, a service offered in Chicago, New York, Washington, D.C., San Francisco, and Boston for a short period.
Blind Passenger Settlement of $45k
In July 2016, a California court gave preliminary clearance to a class action lawsuit filed by three blind plaintiffs who allege that Uber drivers refused to give them rides because of their service dogs.
The three plaintiffs who brought the complaint will each get $15,000 as part of Uber’s settlement. Uber also agreed to pay the National Federation of the Blind $225,000 over three years, with an extra $75,000 if the term agreement is extended for a fourth year.
Individual lawsuits might be used to seek damages claims on behalf of the class.
Uber will stop accepting trip requests until drivers affirm that they are prepared to carry clients with service animals, according to the agreement. Drivers who refuse to carry clients with service animals or who violate the service animal policy will be removed from the Uber platform.
Plaintiffs from all around the country may now join the class since the court certified it. However, there is no provision in the case for monetary remedy for the whole class. Individual lawsuits may be used instead to seek damages claims on behalf of the class.
The National Federation of the Blind filed a lawsuit against Uber in 2014 on behalf of all blind people in California who utilize a service animal and have been refused trips. The complaint was filed in response to claims that some blind clients were denied service by Uber drivers who refused to let guide dogs in their cars.
Undisclosed Settlement for Wrongful Death
Uber resolved a lawsuit for the death of a six-year-old child in private in July 2016. Sophia Liu was killed by an Uber automobile while walking in a San Francisco crosswalk on New Year’s Eve in 2013. The Uber driver was taking customers and the ride-sharing app was active at the time of the collision.
Background Check Settlement of $7.5 Million
In June 2016, Uber achieved a $7.5 million settlement with drivers who claimed that the car service operator fired them after illegally acquiring their consumer background checks.
A $25 million background check settlement has been reached in California.
In April 2016, Uber and the district attorneys of Los Angeles and San Francisco struck a settlement worth up to $25 million to address charges that Uber deceived customers about its driver screening processes. Uber misrepresented its driver safety screening procedure, according to the California civil claim. Uber did not conduct fingerprint-based background checks, which California considers to be the most thorough screening approach. Uber’s background checks have been dubbed “industry leading.” Uber’s screening procedure, according to the California district attorneys, failed to unearth the criminal history of 25 drivers.
Settlement of a $28.5 million “Safe Rides Fee” class action lawsuit
The claims argued that Uber’s “Safe Rides Fee,” which did not include fingerprinting, was not “industry leading,” as Uber stated.
In February 2016, Uber agreed to pay $28.5 million to resolve two class action lawsuits claiming safety procedures deception. Customers filed the claims, claiming that Uber’s “Safe Rides Fee,” which supports its background check process, was not “industry leading” as Uber stated since fingerprinting was not included. (In California, taxi drivers are obliged to do background checks using fingerprint identification.)
In addition, Uber agreed to rename its “Safe Ride Fee” to “Booking Fee.” The class action lawsuits might affect up to 25 million Uber users in California.
The settlement was denied by U.S. District Judge Jon Tigar in San Francisco in August 2016, finding that Uber’s offer “rings hollow.” Judge Tigar claimed that the amount was insufficient, particularly when considering consumers who paid the tax many times.
Uber’s $100 million settlement has been rejected by a judge.
Uber settled two class lawsuits in California and Massachusetts in April 2016, representing 385,000 drivers. Eligible drivers would have remained contractors under the terms of the settlement, but would have been entitled to a part of the $100 million depending on the amount of miles they drove. Uber has committed to partly support a “Drivers Association” and offer more information on why certain Uber drivers are deactivated.
Hundreds of drivers objected to Uber’s settlement, including the primary plaintiff, driver Doug O’Connor, who dismissed his attorney and hired new counsel.
Mr. O’Connor said in his official complaint to the court that the contract “does not serve mine or any Uber driver’s best interests.”
The settlement was denied by U.S. District Judge Edward Chen in August 2016, who said it was not “fair, sufficient, or reasonable” for drivers.
Uber would pay just $1 million in state fines, which may amount to more than $1 billion in total.
Judge Chen rejected the settlement because the sum provided to drivers was just 10 percent of what the complaint claimed they were entitled. He also noted that Uber will pay just $1 million in state fines, which might potentially amount more than $1 billion, under the conditions of the agreement.
Lyft Settles for $27 Million
Lyft, Uber’s ridesharing competitor, agreed a $27 million settlement with 200,000 California drivers in March 2017. As part of the arrangement, Lyft drivers who worked more than 30 hours each week would likely get several thousand dollars each.
Unfortunately, these drivers will continue to work as independent contractors in the future.
Uber Settlements – Current Cash Settlement & Rebate Info is a website that has the current cash settlement and rebate information. Reference: zimmerman reed uber settlement.
Frequently Asked Questions
Is Uber settlement taxable?
A: The Uber settlement was not taxable because it has no monetary value.
Can you sue Uber for lost wages?
A: Uber is not a company that can be sued. Instead you should contact your states department of labor to file complaints against the company for violating certain aspects of human rights law, which most likely they have violated
How many people have sued Uber?
A: This has not been tracked.
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